The House has passed a 15-year extension for the federal backstop for terrorism-related insurance claims. The bill drew praise from industry but a veto warning from the White House. With the House’s approval on Sept. 19, the focus shifts to the Senate, which hasn’t acted yet on the issue.
The insurance program was established in 2002 and extended in 2005. It will lapse Dec. 31 if Congress doesn’t renew it.
The White House Office of Management and Budget objected strongly to the House bill, contending that a 15-year extension “effectively makes [the program] permanent.” It added that senior officials would recommend a presidential veto. The House’s 322-110 vote exceeds the two-thirds majority needed to override a veto.